COGTA Chief Director walked away with R46 million from Naledi Municipality
31 October 2014
In a reply to a DA parliamentary question, the Minister of Cooperative Governance and Traditional Affairs (COGTA), Pravin Gordhan, revealed that Khasu Engineering Services owned by the Chief Director of COGTA, Khotso Frank Khasu, to date has not paid back overpayments made to his firm to the tune of R46 million by the Naledi Local Municipality in the North West in 2008.
The total amount paid to Khasu Engineering was R87.9 million which included an overpayment of R46 million. The payments made were for the installation of sewer and water internal services and the construction of 3000 houses.
I will request Minister Gordhan and the North West MEC for COGTA to urgently intervene and to institute the necessary criminal and disciplinary action in terms of Section 32 of the Municipal Finance Management Act. Criminal charges must be laid.
In 2010, the Special Investigating Unit had begun its investigation into Mr Khasu, yet nothing has come of this and Mr Khasu basically walked away with R46 million.